I can still remember when i was in college, i applied as a contractual employee in one of the fastfood chains in my country. I gave my biodata, i was interviewed, was happy and confident in answering all the managers question, at the end i was not hired when i asked why the note written in my biodata was overqualified.

. It was sad because if i had this opportunity to store my datas in an accessible database employers can just pick me up according to what is written in my profile and according to their expectations on me and not just waste my time trying to apply everywhere and be rejected just because i am overqualified.
Overqualified? Yet, you did not accept in the firm you have apply. For sure, there is a person who is more qualified than you or the interview personnel wants his relative (colleagues, friends, family) to be part of that job. Of course, we can't deny that there are anomalies in hiring industry. Most of the time, the jobseekers are filtered based upon the closeness of the applicant to the interviewer and not by means of skill of the interviewees. I called them as backer and TrustLogics will definitely exterminate them all.
you got it. Probably. Sometimes they just put any reason they want so they can just reject the applicants and put whoever they want. This is the problem also we have in our country. There are too many qualified applicants but they are not given a chance to be hired according to their skills because of the process you mentioned above. We call it in our language padrino the applicants though not really qualified since they have someone inside who can back them up, so they are accepted regardless of their qualifications. Sad.